JERA Americas and Uniper Unveil Agreement Signing for Supply of Low Carbon Hydrogen and Ammonia

JERA Americas and Uniper have jointly announced the signing of a non-binding Heads of Agreement, in collaboration with ConocoPhillips, which marks a significant milestone in their partnership for the sale of ammonia to Uniper. This development also signifies the progression of their cooperation in the advancement of a low-carbon ammonia production facility situated along the US Gulf Coast.

This announcement serves as an extension of the Memorandum of Understanding (MOU) that these parties entered into in September 2022. The initial MOU was aimed at evaluating the feasibility of establishing ammonia production facilities in the region. The envisioned project is designed to have an initial production capacity of 2 million metric tons per annum (MTPA) of low-carbon ammonia, with room for potential expansion in the future.

ConocoPhillips, in collaboration with JERA Americas, a wholly owned subsidiary of JERA Co., Inc., has plans to jointly spearhead the development of this production facility project. The venture seeks to expedite the production and distribution of low-carbon fuel to markets spanning the United States, Europe, Japan, and the broader Asian region. Additionally, the project encompasses the assessment and development of facilities dedicated to carbon capture and sequestration (CCS). The proposed ammonia production facility is envisioned to generate hydrogen and subsequently convert it into clean ammonia for export to international markets, with a goal of achieving the first commercial deliveries by the close of this decade.

Steven O’Rourke, Chief Executive Officer of JERA Americas, expressed his satisfaction with the progress made in contracting with Uniper SE as a core customer for their low-carbon hydrogen/ammonia project. He emphasized that this development is a culmination of the sales MOU inked last year. O'Rourke highlighted the crucial role that rapid development of global-scale, low-carbon hydrogen/ammonia production plays in facilitating timely global energy transition initiatives. He also underscored the robust demand for ammonia as a hydrogen carrier across Europe and Asia.

Carsten Poppinga, Chief Commercial Officer for Uniper SE, stressed the significance of projects like this one in the transition towards greener feedstocks while ensuring supply security for their customers. He highlighted the importance of developing production capabilities now to meet the growing demand for clean hydrogen and ammonia in the future. Poppinga acknowledged the project's potential to accelerate the global energy transition, expressing Uniper's enthusiasm for its involvement.

In addition to this collaboration, Uniper has independently unveiled plans for "Green Wilhelmshaven," a project aimed at combining hydrogen imports and local production to create a unified European hydrogen market.

In summary, the signing of the non-binding Heads of Agreement by JERA Americas and Uniper, in conjunction with ConocoPhillips, represents a significant step forward in their joint efforts to supply ammonia and develop a low-carbon ammonia production facility. This initiative holds immense potential for accelerating the transition towards cleaner energy sources and meeting the surging demand for hydrogen and ammonia in various global markets. Uniper's additional "Green Wilhelmshaven" project further underscores their commitment to advancing the hydrogen economy and facilitating the energy transition on a broader scale.